Michigan is going to appeal, as they should. The fine was excessive but manageable, the suspension of Sherrone for another game next season is also over the top. If they got that game back and maybe save a few million, it would be worth it.
I'm a die hard Michigan fan and I still don't get what the big deal is here. The SEC was illegally paying players for decades and nobody cared. Michigan had a rogue staff member run a sign stealing program. Michigan didn't pay for any of the tickets or travel in his network. He funded it directly.